Home Insulation Relief: A Lot Has Changed Since January

• The explanations contain general explanations of tax law provisions and take into account the legal status in force on 1 January 2025.
• The Minister of Finance issues them to ensure uniform application of tax law provisions by tax authorities.
• Especially since the list of expenses that can be deducted has changed significantly since January.

The Ministry of Finance reminds in its explanations (which we post in full below the article) that the regulations governing personal income tax provide for two forms of support for taxpayers undertaking thermal modernisation activities :

• thermal modernization relief,
• tax exemption.

The relief consists of deducting from the tax calculation base (in the case of taxpayers taxed according to the tax scale and the uniform 19 percent tax rate) or from income (in the case of taxpayers taxed in the form of a lump sum on recorded income) the expenses incurred for the implementation of the thermal modernization project. The maximum amount of the deduction is PLN 53 thousand.

The regulation of the Ministry of Finance specifying the list of expenses that qualify for the thermal modernization relief has already been amended twice. A new list of expenses has been in force since 2025. The list no longer includes a solid fuel boiler (it was on the list until December 31, 2021) and devices and services withdrawn from it after December 31, 2024 , i.e.:

• a condensing gas boiler with control, safety and regulation fittings and an air supply and exhaust system,
• condensing oil boiler with control, safety and regulation fittings and air supply and exhaust system,
• gas tank or oil tank,
• installation of a condensing gas boiler,
• installation of a condensing oil boiler.

What's on the list? It includes:

• a heat pump together with the infrastructure necessary for its operation, provided that the pump is part of the installation used for heating

  rooms or preparation of domestic hot water,

• solar collector along with the infrastructure necessary for its operation,
• photovoltaic cell together with the infrastructure necessary for its operation,
• energy storage or heat storage together with the infrastructure necessary for its operation;
• materials used for insulation of balcony slabs and roofs, as well as roof insulation services.
• purchase and installation of external doors.

The full list is in the explanations attached below the article.

The Ministry of Finance’s explanations also devoted a lot of space to the issue of the possibility of deducting expenses incurred before the formal completion of construction (when the property was already inhabited).

The Ministry writes that the provisions of the Personal Income Tax Act do not absolutely require the taxpayer to have a document confirming consent to use the building (decision/notice on completion of construction resulting in tacit consent to its use). This applies to both long-term buildings and newly constructed ones .

It is intended to meet housing needs, which can be documented, for example, by providing confirmation of payment of property tax.